Should I 1031 or is there a better strategy to keep it and borrow against the equity for another rental?

When it comes to borrowing money, you have choices.

:)  We love defaulted note investing - you own nothing but are in control and can exit through the property or the borrower. if you do take a property back you can sell it outright, seller finance it, rent it or BRRR it.

Any overage would be due to the borrower or another lien holder. 

Lower interest is generally better than higher interest if you are the borrower.

If you have the money, just use it, rather than borrow.

@Bijan SabbaghiYou don’t that’s the challenge - we pull data from several places as a note holder and for example and currently we see less than 20% actually going to foreclosure as most are ending in bankruptcy right now due to borrowers equityThe ones that are under water are typically going back to the bank.Best bet is to find properties where deceased or maybe divorced to get higher chance of actually going to foreclosure

For anyone in real estate, it’s definitely worth exploring how private money can align with your goals—whether you're borrowing or lending!

A borrower really needs to have at least some "skin in the game" to make lenders feel comfortable.

If Pace's team is vetting the credit of the Gator borrowers, vetting the actual deals of the Gator borrowers, and facilitating reporting of deadbeat Gator borrowers, then I see some real value.